Finding 947630 (2023-001)

Finding 2023-001: Special Tests and Provisions – Lack of Maintaining Verification Documents Federal Agency: U.S. Department of Education Program Name: Student Financial Assistance Cluster, Federal Direct Student Loans Assistance Listing Number: 84.268 Award Year: June 1, 2022 – May 31, 2023 Program Expenditures: $200,070,965 Criteria: Per 34 CFR 668.57, if an applicant is selected to verify information, an institution must obtain the specified documentation. Condition: During testing of students selected for verification, for 1 out 14 students selected for testing, the College could not provide the supporting verification documents. Cause: The financial aid administrator that performed the verification left the College shortly after performing the verification and did not properly save and maintain th documents. Effect: The College is required to maintain documents identifying the required verification procedures were performed in accordance with Department guidelines. Noncompliance with federal guidelines could imapct future funding. Questioned Costs: None Context: For 1 out of 14 students selected for verification testing, verification documents could not be provided identifying the verification procedures were completed. Repeat Finding: No Recommendation: We recommend the College strengthen internal controls and ability of administrators to pull information saved by specific employees prior to departure. Views of Responsible Officials: Management agrees with the finding. Please see corrective action plan attached.